Aptiv Reports Fourth Quarter 2025 Financial Results

Core Insights - Aptiv PLC reported record full year financial results with revenues increasing 3% to $20.4 billion, demonstrating operational excellence and a strong product portfolio [1][3]. Financial Highlights - Fourth Quarter 2025 U.S. GAAP revenue was $5.2 billion, a 5% increase from the prior year, with adjusted revenue growth of 3% after accounting for currency and commodity fluctuations [4][8]. - Full Year 2025 U.S. GAAP revenue was $20.4 billion, reflecting a 3% increase, with adjusted revenue growth of 2% [10][11]. - Fourth quarter net income was $138 million, with a net income margin of 2.7% and diluted earnings per share of $0.64; adjusted net income was $402 million, or $1.86 per diluted share [5][8]. - Full year net income was $165 million, including a non-cash goodwill impairment charge of $648 million, resulting in a net income margin of 0.8% and diluted earnings per share of $0.75; adjusted net income totaled $1,726 million, or $7.82 per diluted share, a 7.4% increase [11][12]. Operating Performance - Fourth quarter U.S. GAAP operating income was $425 million, down from $479 million in the prior year; adjusted operating income was $607 million, compared to $623 million [6][8]. - Full year U.S. GAAP operating income was $1,184 million, a decrease from $1,842 million in the prior year; adjusted operating income was $2,461 million, up from $2,366 million [12][8]. Cash Flow and Capital Management - Cash from operations for the fourth quarter totaled $818 million, down from $1,060 million in the prior year [9][8]. - For the full year, cash from operations was $2,185 million, compared to $2,446 million in the prior year [15][8]. - The company repurchased $300 million of senior notes and 22.8 million shares valued at $1.5 billion during 2025, with $2.1 billion remaining for future share repurchases [17][8]. Strategic Outlook - The company is preparing for the spin-off of its Electrical Distribution Systems business, which will create two independent companies, enhancing their ability to pursue unique market opportunities [4][8]. - Financial guidance for Q1 2026 includes net sales of $4,950 - $5,150 million and U.S. GAAP net income of $130 - $170 million [20][8].